Update shared on16 Sep 2025
Fair value Increased 2.54%Tesco’s analyst price target has been raised from £4.29 to £4.40 as analysts express increased confidence driven by stronger earnings forecasts, anticipated positive catalysts, and sustained operational momentum.
Analyst Commentary
- Bullish analysts are anticipating strong upcoming earnings, with first half and full year estimates raised significantly, placing forecasts comfortably above current guidance.
- Positive catalysts are expected, prompting high conviction among analysts that upcoming results will surpass previous expectations.
- Upward adjustments to medium- and long-term forecasts (FY26 and FY27+) reflect increased confidence in Tesco's earnings trajectory and business momentum.
- Revisions to price targets factor in both improved operational performance and robust sales outlook, supporting premium valuations for the shares.
- Recent analyst activity highlights a consistent trend of price target increases and Overweight ratings from major firms, indicating broad optimism on Tesco’s future performance.
What's in the News
- Tractor Supply is expanding its final-mile delivery capabilities to fuel digital and business-to-business sales growth, focusing on rural markets by hiring drivers and renting vehicles, targeting improved delivery of bulky items (The Wall Street Journal).
Valuation Changes
Summary of Valuation Changes for Tesco
- The Consensus Analyst Price Target has risen slightly from £4.29 to £4.40.
- The Consensus Revenue Growth forecasts for Tesco has risen from 2.8% per annum to 3.0% per annum.
- The Future P/E for Tesco has risen slightly from 16.80x to 17.50x.
Disclaimer
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